ElringKlinger AG

ElringKlinger reported Q2 2026 revenue of EUR 479 million, up 17% year over year from EUR 408 million. Adjusted EBITDA was EUR 54 million, up 7%, and adjusted EBIT was EUR 29 million, up 19%; adjusted EBIT margin improved from 5.9% to 6.0%, while adjusted EBITDA margin was 11.2%. Adjusted EPS was EUR 0.18, up 50% from the prior-year quarter, and adjusted net income attributable to shareholders rose 50% to EUR 11.3 million. Operating free cash flow was EUR 52 million versus EUR 24 million a year earlier, net financial debt was EUR 374 million, and net debt-to-EBITDA was 1.9. For guidance, management confirmed full-year 2026 expectations as published in March and did not provide new quarterly numerical targets on this call.

Thomas Jessulat emphasized that the automotive market remains challenging, with weaker production forecasts in all major regions, but said ElringKlinger is positioned to benefit from its global footprint, customer proximity, and execution of SHAPE30. He highlighted E-Mobility as a key growth engine, saying sales more than doubled to EUR 85 million in Q2 and that the company remains on track for its transformation and efficiency targets. His tone was steady and confident, focusing on disciplined execution rather than near-term market recovery.

Isabelle Damen walked through the quarter’s financial progress, pointing to revenue of EUR 479 million, adjusted EBITDA of EUR 54 million, adjusted EBIT of EUR 29 million, and adjusted EPS of EUR 0.18. She noted that the 17% sales growth was helped by E-Mobility ramp-up and a EUR 28 million one-time effect tied to tooling/equipment sales with little EBIT impact, while operating improvements added EUR 12 million to EBIT. She also highlighted improving cash generation, with operating free cash flow at EUR 52 million, net working capital at EUR 347 million, CapEx at EUR 23.9 million, and net financial debt at EUR 374 million.

Analysts asked about the EUR 28.1 million one-time revenue effect, and management explained it came from tooling or equipment sales to a customer with typically low or zero margin, so it lifted revenue but had little to no EBIT impact. They also asked whether Sono Motors’ insolvency would affect ElringKlinger, and management said it expects no further impact. On the OE business excluding E-Mobility, management said the quarter-over-quarter margin decline was due to unfavorable product mix across product groups.